Wotka World Wide

Wednesday, September 21, 2011

If you wanted to destroy H-P, the world's largest computer producing company, here is a one year plan on how to do so. Note that this is actually what the company has done in the past year. The most ridiculous move?

Announce plans to maybe sell the PC business. Or maybe spin off PCs as a stand-alone company. Uncertainty will damage the price.

Never mind the years of effort H-P spent -- including a controversial merger with Compaq -- becoming the world's largest PC maker. Never mind that the PC business feeds H-P's more profitable businesses. Dumping it is a beautiful absurdity that one analyst, Jayson Noland of Robert W. Baird & Co., described as "like McDonald's getting out of the hamburger business."

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